EXECUTIVE SUMMARY

PROFILES OF OAS TECHNICAL COOPERATION ON YOUTH EMPLOYMENT AND MICROENTERPRISE

Profiles of OAS Technical Cooperation on Youth Employment and Microenterprise

The OAS has assisted small island nations in the Caribbean to conduct manpower surveys and to develop other data sources to better articulate supply and demand for labor in these small economies. Labor market assessments have been carried out in The Bahamas, Barbados and six member states of the Eastern Caribbean as well as in Surinamer to serve as the basis for developing practical approaches to job creation. Such training has occurred in the areas of tourism, international trade and statistical development.

These activities led to the development of demand driven skills training schemes where potential job placement opportunities were identified prior to the initiation of training. The largest of these programs was the $10 million OAS/USAID Regional Non Formal Skills Training Project which included Antigua and Barbuda, Barbados, Dominica, Grenada, St. Kitts and Nevis, Saint Lucia and St. Vincent and the Grenadines. Training under the project (which operated from January 1983 through October 1989) was short and intensive, generally not exceeding three months. To avoid labor market saturation training, modules were mounted in over 200 skills areas. More than 12,000 persons were trained with 87% of those trained being placed in jobs, both in the formal wage sector and being self employed; about 20% of training modules were targeted on micro enterprise development.

Direct OAS experience with the limitations of job creation in the modern wage sector of small economies has led to the creation of projects stimulating entrepreneurship and small business development. National Projects of Technical Cooperation in The Bahamas and Barbados have been complemented by the multinational Caribbean Youth in Business Project, and provide assistance to small island nations in the establishment of Small Business Centers that serve as a one-stop locus of support services for youth attempting to launch a small business.

'Youth in Business Centers' in The Bahamas and Barbados have helped young men and women explore credit options and financial management programs and assist in marketing, product development and access to a wide array of books, manuals, video tapes and other materials related to starting and maintaining a small business. The centers sponsor annual Expo's where young persons can display their good's and services to the public including tourists. Access to microcomputers is also provided to young business persons to prepare financial plans, advertising and record keeping.

In 1994, additional youth enterprise activities were developed in Jamaica in two national projects. One provided entrepreneurial training to youth in the tourism sector, with specialized training in marketing and business development in several key markets such as tour guiding, food preparation, cosmetology, cultural events, and garment construction. A second project in Jamaica focused on the development of entrepreneurial skills under the auspices of the Social Development Commission and provided training to staff in business counseling and planning. A manual was also prepared based on local conditions for staff to use as a follow-up.

Further, the OAS assisted the Government of Belize in formulating a comprehensive Youth Start Project designed to better integrate the training and financial development of several agencies working with young persons. The goal was to enable agencies to cooperate for motivational training, entrepreneurial and employment development, and specially targeted venture finance funding aimed at young persons already in the labor market. A Youth Enterprise Unit has been established in the Ministry of Youth to coordinate this plan and over the next two years create a private sector base of support for long-term expansion of all youth enterprise programs in the country. The government expects to target this area as a major thrust for expansion under other social development projects being sponsored by international financial institutions.

Thus, both skills training and microenterprise development projects are tailored specifically to the needs of small island states, and encourage the creation of permanent jobs as part of a strategy of sustainable development. Since the problems of the small island states are similar, OAS Regional Programs stress information sharing through regional newsletters, workshops and seminars. A regional Youth in Business Network has been established for the coordination of horizontal cooperation whereby small countries with similar problems exchange knowledge and expertise through study visits.

Since 1992, the OAS has supported a new initiative to better focus national and international resources in this field. In a series of consultations and conferences with national counterparts, the concepts of an expanded effort was strongly endorsed with needs for venture capital funds identified as a primary objective. As this relates to overall private sector development, an improved public / private sector partnership is a part of this effort. This collaboration resulted in the formation of a new foundation, Youth Enterprise Services (YES) International. YES International remains a major component for the provision of venture finance mechanisms targeted specifically to the needs of young people, the creation of national youth business trusts for this purpose remains a priority.

Previous OAS Projects in Business Creation and Youth Development

The Secretariat provided technical cooperation on the development of small and medium-size businesses in the Caribbean under three plurinational projects: Business Creation and Enterprise Development in the Small Island Developing States of the Caribbean Project; the Business Creation and Employment Generation (Caribbean Youth in Business) Project; and the Program of Workshops and Conferences of the Inter-American Conference of Ministers of Labor.

These activities centered on increasing the level of financial and technical resources available to the Member States for the long-term development of entrepreneurial strategies in the Caribbean, and sought to provide a better coordination and integration of policy and programs in the region. Specifically, the Secretariat worked with the Caribbean Community Secretariat in proposing the Caribbean Enterprise Education and Development Trust Fund and the Caribbean Youth Enterprise/Employment Project to accomplish these purposes.

Social Development and Poverty Alleviation

The Secretariat conducted a number of projects under the Program of National Technical Cooperation (PNCT) to assist Member States in the area of social development and poverty alleviation. Attention was focused on the creation of employment opportunities in both the wage and microbusiness sectors, particularly toward the high percentages of young people who comprise the population of the Member States of the Caribbean.

These activities included: The Belize Youth Start Plan, which outlined an integrated approach to wage and self-employment training and represents a prototype project for further expansion, and is being funded by the Inter-American Development Bank as a government / private sector partnership in cooperation with the Department of Youth Development.

The Belize Labour Force Project enabled the Central Statistical Office to increase its capacity to conduct poverty, labor force, and establishments surveys by providing additional equipment and training.

The Bahamas Youth Enterprise Project trained more than 200 young persons in practical business skills in the areas of souvenir production, cultural crafts, garment manufacturing, woodworking, fishtrap making, and upholstery, including the establishment of a pilot youth business incubator established by the Ministry of Youth and Culture. P>In the Barbados Youth Business Project, a Young Entrepreneurs Scheme was established for training and extension services with a parallel Youth Business Trust to make financing available for business start up. Assistance was also provided in the expansion of the Barbados Youth Service and the Community Youth Commissioners project of the Division of Youth Affairs.

Also in Barbados, the Secretariat provided assistance to the Community Income Generation Project which will assess local markets and potential areas of business and employment opportunities in communities on the island through the Community Development Department.

In cooperation with the Jamaica Tourist Board, and the Jamaica Small Business Development Project, training and business start up assistance was provided to 200 young persons with an interest in self-employment or microbusiness relating to the vital tourism sector in Negril and Montego Bay. Training and advice focused on the areas of entertainment and cultural productions, garment, food preparation, and cosmetology.

Grenada: The OAS works with the Ministry of Youth in the initiation of a youth enterprise scheme and community development project as part of an overall program designed to upgrade the institutional capability in youth development.

The Jamaica Job Creation and Youth Development Project involved three non-governmental organizations, whom expanded their current work through the project. The Mona Rehabilitation Unit increased its capability to manufacture and sell prosthetic devices (wheelchairs and artificial limbs); Operation Friendship implemented a new skills training program in machine trades for inner-city youth; and, the Combined Disabilities Association began a computer skills training program for deaf persons.

In cooperation with the Social Development Commission, the Jamaica Entrepreneurial Training Project trained staff of the Commission in business planning, counseling, and financing skills and prepared a manual to use for working in communities across the island.

In Dominica the output of the Youth Skills Training program was doubled following Hurricanes Luis and Marilyn, with specialized training provided to young persons in construction techniques and building maintenance. Trainees throughout the country applied their skills to the repair of primary schools, health centers and other public buildings damaged by the storms. In addition, training was provided in the hospitality sector, arc welding, woodworking, pottery making, tailoring, industrial sewing and other trades where training graduates could be placed in remunerative employment. Specialized training was provided through the Small Business in Rural Areas Project to train young entrepreneurs in establishing support services groups to assist farmers in clearing land, harvesting crops, etc. Expanded activities are underway to improve response to hurricane damage sustained by the agricultural sector.

St. Kitts and Nevis: In St. Kitts and Nevis, the Labor Force Survey was completed and the results presented in a national seminar with broad representation from the public and private sectors. Decisions were made to establish an ongoing Labor Market Information system for providing current employment data to economic decision makers in both Government and the private sector. In a related matter, work was initiated on a Household Expenditure Survey.

Trinidad and Tobago: Through the Multinational Project on Education for Work, the OAS has assisted the Ministry of Education in the creation of business laboratories in secondary schools. Now concluding its pilot phase, the Ministry is adopting this concept to be integrated in the curriculum of all secondary schools in the country. A project is currently underway to strengthen loan monitoring in the Small Business Development Company.

St. Vincent and the Grenadines: In cooperation with the Government and several other international donors the OAS provides technical and financial support to an integrated social and economic development project with a primary focus on small business development.

Junior Achievement: The OAS was instrumental in the expansion of Junior Achievement in the Caribbean through a small grant obtained for Junior Achievement international in 1994. As a result the scope of Junior Achievement programs, where they were already established, has been expanded to include a more diverse range of training. In other countries without JA - notably, St. Lucia and Antigua and Barbuda, new Junior Achievement organizations have been initiated.

At the headquarters level, the Secretariat joined an alliance for youth development in the Hemisphere to form an Inter-American Working Group on Youth Development. The Working Group is an inter-agency effort including the Inter-American Development Bank, the Inter-American Foundation, the US Peace Corps, the International Youth Foundation, and the OAS. A number of cooperative projects and policy ideas are being developed for both donors and program operators within the Americas and the Caribbean.

Profiles of National Young Entrepreneur and Youth Development Projects: Caribbean

1. Antigua - Barbuda

In Antigua and Barbuda, youth work is administered by four Ministries in Government. These are the i) Ministry of Education, Youth, Sports and Community Development ii) Ministry of Labor and Cooperatives with the Youth Skills and Human Resources Development Unit iii) Ministry of Health and Home Affairs with the Adolescent Health Service and the Alliance for Social Well-being and iv) Youth Liaison Officer in the Prime Minister's office.

Young people in Antigua and Barbuda, are encouraged to acquire skills from the Youth Skills Program or the Human Resource Development Unit in the Ministry of Labor and Cooperatives which have programs specifically aimed at youths. The mission of these programs is to provide employment opportunities for young people by training and placing them in remunerative employment at entry level positions.

Placement rates for youths trained in Youth Skills Programs were at 90% and a number of those trained started their own businesses in areas such as carpentry, drafting, secretArial,Helvetica skills, mechanics, masonry, electrical wiring, plumbing and general maintenance. The training programs run for approximately 6 months, and students receive a weekly stipend of $50.00. In 1994, 400 young people applied for the Youth Skills training, and although the budget called for 90 trainees, the project accommodated 130 youths.

The Youth Skills Training Program is in the process of implementing new activities to better serve the community. A self-help training program has been developed for youths. This programs assists youths by creating a network of information that seeks new and innovative ways of creating employment and pooling resources. All participants of the Youth Skills Program engage in a field placement exercise and are eligible to participate in a system of referrals.

Other programs which have been successful in training and assisting youths in Antigua and Barbuda are:

The Hotel Training School prepares people for the hotel industry.

The Junior Achievement Program provides secondary school students with practical business experience through the organization and operation of an after-school or co-curricular business enterprise. These companies are owned by stockholders who expect to receive dividends from business transactions. This program is a Rotary Club initiative in collaboration with the Peace Corps and the Ministry of Education, Youth Sports and Community Development.

The National Development Foundation and the Commonwealth Youth Program Caribbean Center helps youths in funding enterprise projects.

The Human Resource Development Unit provides teenagers who have finished school prematurely with remedial capacities in English, math and life skills. The life skills section involves training in areas such as interacting with others, resolving conflicts, planning social activities and general coping skills. These programs last for 6 months and students receive $134.00 every fortnight.

2. The Bahamas

Programs that assist youths in The Bahamas are divided into three sections namely the tertiary training programs, industry based programs and school based initiatives. There are also some programs in place that assist youths with funding but do not fall into any of the three categories mentioned above.

The tertiary training programs, which focus on older youths, include training in the following areas:

The Industrial Training College - Provides job skills training in a number of relevant disciplines but focuses specifically on garment making, construction trades, and crafts.

The Bahamas Hotel Training College - Trains students in hotel service and management. Graduates fill positions in the tourism sector, the number one industry of the country.

The Apprenticeship Board - Ensures that students from The Bahamas Hotel Training College continue to receive relevant on-the-job training and also coordinate full time employment in the industry after completion of studies.

The second division, the industry based initiatives, includes The Bahamas Employment Exchange and the cooperative movement. These initiatives revolve around the need for job placement assistance and professional interest groups. The Bahamas Employment Exchange for example, serves as a primary focal point for registry and placement of youth into the labor market. It acts as a type of registrar for young people to facilitate the search for full-time employment. Officers from this program provide placement follow-up services to employers/employees to maximize the employees chance for ongoing employment.

The Cooperative Movement, on the other hand, is used to promote and enhance like interest among professions and increase awareness of other job opportunities in the market. It serves as a type of extension program for skilled craftsmen and tradesmen in The Bahamas. This program gives youths access to a wide range of services and assists them in job placement.

The school based initiatives which constitute the third division, starts training young people in the earlier stages of education. Programs of this sort include the following:

-Business Basics - This program is geared towards providing young people with a fuller understanding of what is entailed in operating and managing a business by allowing youths to participate in simulated activities including the use of a wide range of business concepts.

-Junior Achievement - This program reaches thousands of young people and provides them with a micro opportunity to participate in the field of business

-Technical Cadet Corps - Provides selected high school juniors and seniors with an accelerated opportunity in the fields of engineering. This two-year program takes youths through a rigorous program of hands on training and development in all aspects of engineering.

-Royal Bahamas Police Cadet Training Program - trains youths in police training and offers the benefit of early acceptance into the force.

-The Bahamas Development Bank - Facilitates and manages loans provided to entrepreneurs by the government. This bank allows entrepreneurs to enjoy the wide range of services offered.

-The Youth Enterprise Center - This center primarily assists entrepreneurs through the start-up and research services as well as assists entrepreneurs in accessing loan services.

-The Youth Enterprise Project - This project is targeted towards providing young people with appropriate skills, information and training for entrance into the world of entrepreneurship. Upon graduation, services such as post loan counseling and mentorship are offered.

3. Barbados

The programs in Barbados that focus on youth unemployment and training are the Youth Development program, the Barbados Youth Service and the Youth Entrepreneurs Scheme.

The Barbados Youth Service program has been designed to meet the varying needs of young people. Its specific objectives seek to: I) mobilize the skills and energies of youth in the interest of national development ii) create acceptable role models for other young people iii) improve the caliber of the young work force through the development of an awareness of its potential and iv) foster in young people a commitment to be of service to one's fellowman and to one's country. This program provides a one-year structured program which exposes trainees to personal development skills. It provides opportunity for addressing negative attitudes and for instilling a greater sense of responsibility in young people.

Students also participate in projects and programs which build concentration and self-confidence, raise morale and give insights into areas with career possibilities or offer opportunities for leisure time activities. 80% of the graduates of the Youth service are placed in gainful employment; however, there has been a lack of resources to evaluate accurately the degree of success of the program. The Government has proposed to expand the program both quantitatively and qualitatively as it has only been able to service a small proportion of the persons who really need it.

The Youth Development Program is aimed at addressing the concerns, issues, aspirations and prospects of youth. This program will employ professional Youth Workers who will coordinate, motivate and facilitate youth development. The methods employed to accomplish the objective of this program are working with service organizations and community groups, motivating and mobilizing unattached youth to become active participants in the various social, cultural and productive projects and programs in the community and referring youths to relevant agencies with the social services. The youth worker will function in a multi-faceted capacity and the program overall will foster a collaborative working relationship with other agencies so as to derive maximum benefit from the activities.

The Youth Enterprise Scheme will have as it's objective to become the government agency on youth entrepreneurship, dealing with issues and needs affecting young people in business, including those in existing programs in the private sector. It will provide them with career information, literature and support services on entrepreneurship as a career option. Some of the support services to be offered include: seminars and training, business counseling, computer services, trade fairs and exhibitions. YES will provide the opportunity for young people to have easy access to funds earmarked for test marketing, start-up capital and expansion loans.

In December 1993, a Barbados Youth Business Trust was launched to facilitate financing. The trust has attracted financing from external and local sources and it is anticipated that it will have access to additional funds from other donor agencies. The government has proposed working closely with the Trust, with a view to ensuring the necessary financing for business ventures by young people.

4. Belize

The most recent initiative developed by the government of Belize in collaboration with the Organization of American States is the Youth Start Project Proposal. This initiative, once functional will focus on and benefit the following vulnerable groups: unemployed, out of school, females, marginalized males, youth coming out of rehabilitation, physically challenged, or living in remote rural areas.

YSP is a coordinated, comprehensive program designed, to develop the skills, attitude and resources needed to become successful entrepreneurs or to succeed in the labor market. This project will provide a viable mechanism to mobilize and channel local and international financial resources in addition to enhancing program coordination among agencies addressing multi-sectoral poverty problems and involved in youth development.

It is envisaged that the YSP will operate two separate funds to be manned by a Board of Directors. A YSP Loan Fund and a Grant Fund. The YSP Grant Fund will manage funds to be accessed by approved credit intermediaries for on-lending to young entrepreneurs, while the YSP Grant Fund will be made available to supporting institutions for organizational strengthening. The board is to comprise the private sector, non-governmental, and governmental organizations. Secretariat functions will be undertaken by the Department of Youth Development under the auspices of the Ministry of Youth Development, Human Resources and Women's Affairs.

Other programs that are operational throughout Belize are the Center for Employment Training (CET), The Belize Youth Development Center (BYDC), the National Apprenticeship Program and the Labor Skills Bank and Training Program.

The CET, within the Ministry of Education, provides job-entry level vocational training courses of up to 3 years duration in six month modules to trainees 15 years and older. CET has the capacity to train 200 students and offers an additional 100 spaces for vocational technical high school students through a co-operative program in the afternoon. CET also offers vocational training in areas such as construction trades, masonry, drafting carpentry welding and plumbing.

The BYDC is a government sponsored residential center that offers it's services to 35 male teenagers. The boys are recruited through the district officers with the Youth Development Department every September with the approval of the Center Supervisor. The program lasts nine months, of which the last three months is spent doing on-the-job training in the community. The center provides vocational skills training, self development skills and basic math, English and reading skills.

The National Apprenticeship program is implemented under the auspices of the Ministry of Labor. The rise of youth anti-social activities and high school drop-out rates, influenced the re-introduction of the Apprenticeship program. The program centers around young people between the ages of 14-18 years. Successful applicants are attached to a specific business, tradesman or artisan who has been approved as a trainer by a district committee and are exempted from regular employee/employer responsibilities. Trainees are supervised by a labor officer within the district and paid a stipend by the government department. The duration of the training is dependent on the trainees progress and trade. Once the youth complete training, they can apply for funding from a half loan - half grant scheme for start-up purposes.

The Labor Skills Bank and Training program seeks to implement a labor market information system to assist the unemployed to readily attain employment. This database registers employers and vacancies as they occur and a vacancy/skill match is provided showing details of suitable workers. Workers are likewise to go through the job seeking skills with a counselor/trainer or to use a training manual and other materials available.

5. Dominica

In Dominica, youth employment programs receive the active attention of agencies such as: the National Development Foundation, the National Development Corporation, Small Projects Assistance team (SPAT), the Cooperative Division, Youth Division, NGO's and the Private Sector. These agencies provide a wide range of services including training and technical support. It was noted however, that there is a need to coordinate the efforts of the above mentioned agencies. Recently, the Small Enterprise Development Unit has been promoted in Dominica by the National Development Corporation and the Ministry of Trade as the agency that should provide the coordinating function.

The development of youth enterprise in Dominica is promoted by programs such as the Co-operative Division, the Youth Development Division and the Youth Divisions 4-H program. The CO-operative division, through its training unit provides management training for persons involved in enterprise ventures. For instance, students learn business basics such as the formulation and development of business plans, management financing and marketing. The project is geared towards further support for cooperative and common ownership enterprises; for which assistance from the OAS is being solicited. The Youth Development division prepares and assists youth enterprise by incorporating business and social skills as part of the vocational training offered. Tools and equipment needed during training are loaned to young entrepreneurs as well as financial assistance from the division's revolving fund. The 4-H program, also provides opportunity for entrepreneurial training but focus specifically on agricultural projects.

NGO's in youth enterprise are generally small in size and have a limited reach. The biggest and most involved NGO in the promotion and creation of Small Business ventures is the National Development Foundation of Dominica. Provision of capital, training, and facilities are part of the NGO's Small Enterprise Development Projects.

The National Development Foundation of Dominica (NDFD) will initiate a project called the Youth Start Project once the financial situation ameliorates. NDFD is a non-profit, non-governmental organization which exists to contribute to socio - economic development at national and regional levels by the provision of credit, technical assistance and training to the Micro and Small Business Sectors. The goal of this program, once operational, is to train young persons in business so that they may use those skills to generate income by creating small business that is viable. To reach this end, soft loans will be given to those young entrepreneurs (after necessary screening) for the purpose of purchasing equipment, or for infrastructure development and working capital for the successful implementation of these new ventures. On-going support will be provided to these persons, in an effort to guide them along the way.

6. Grenada

Grenada has a number of initiatives in place that attempt to guide the nation through the structural adjustment policies it has been undergoing. Four projects will be briefly described below, these are I) the Entrepreneurial Development Assistance Project, ii) Grenada Planned Parenthood Association's Youth Center Extension Project iii) New Life Organization and iv) The Grenada Development Bank Small Enterprise Development Unit's Seed Project at the T.A. Marryshow Community College.

The Grenada Chamber of Industry and Commerce has realized that the graduates of JA in Grenada lacked the skills or experience needed to be employed or self-employed. The initiation of the Entrepreneurial Development Assistance Project therefore was to provide young people with the training necessary to take the initial decision to become self-employed and then provide the guidance required for selecting a specific field of work.

The objectives of this project include the enhancement of personal development, the training of business oriented fields and the assistance of financing projects for young entrepreneurs. The target group includes persons who previously received training through JA and other young unemployed youths. The projects length is seven weeks and is divided in two phases. On-going evaluations are conducted which determine the preference and suitability of participants for various fields of self employment. In addition business plans are prepared and students with similar interests are urged to join and form companies together. Finally, the Chamber maintains close ties with the micro sector funding agencies and helps young entrepreneurs in obtaining financing.

The second project described is the Planned Parenthood Youth Center. This project runs for 8 months and is geared to help enable the teen parents and youth who are no longer attending school to continue their education and receive basic job skills training in a supportive environment with peers. In this project, there are approximately 15 young mothers who receive daily instruction in math, English, principles of business and other skills such as straw weaving and doll making. Basic lessons in self-esteem, motivation and personal development are also given. Upon graduation, these ladies have the opportunity to do a number of things such as continuing their education, finding an adequate job or becoming self-employed.

The third project is the New Life Organization which is a private vocational skills training center for youths who have dropped out of the formal school system. The objective is to help youths achieve a sense of self-worth and to become self-reliant. This organization enrolls 240 students each year and gives instruction in academics and in the following: Masonry, woodwork, electrical wiring, plumbing, home aide, maintenance, hospitality, fishing, sewing and child care. Upon completion of the program, students are assisted in finding employment on their own or with local business persons. In return, they are asked to give a small portion of their earnings to the institution.

The Small Enterprise Development Unit, under the guidance of the Grenada Development Bank, has undertaken a number of projects specifically for young people. One such project is the SEED project which is designed to build a comprehensive module by module approach into small business development. It takes students through a course of study which includes lectures, seminars, workshops and assignments, supplemented by visits to small businesses around the country. After the four month program, participants are put on a work study assignment with an approved institution after which time they may be able to either create their own job opportunities or become employed at one of the business places to which they were attached.

7. Guyana

Vocational training programs in Guyana are limited to the following areas, I) Apprenticeship programs within the industrial sector under the Ministers of Labor, ii) Technical/Vocational institutions administered by the Ministry of Education throughout Guyana.

The requirements to enter into the four-year apprenticeship program are to be between the 15-17 age range and to have mastered an entrance exam at the proficiency level of the secondary education program. The technical/vocational institution also requires the mastery of an entrance exam and requires interested individual to be at least 15 years of age at entry.

Individual who are considered low achievers and not likely to succeed with the entrance exam have other avenues of becoming prepared. In 1992, the Government of Guyana secured funding from the Inter-American Development Bank for the Board of Industrial Training to execute on-the-job vocational training for unemployed low achievers (usually coming from large families with low incomes and similar disadvantaged groups).

Four hundred and sixty-eight (468) youths between the ages of 16-20 years from the 585 applicants were offered training in skills that were in demand in the country's economy. Participating private companies were requested to offer permanent employment to at least 50% of the trainees attached to their businesses' workshops. The remainder of the trainees were assisted with employment opportunities elsewhere, and a few opted for self-employment in areas such as leather craft, dressmaking and service oriented fields.

A similar project as the one just described is presently being considered for implementation in 1995 because of it's success. Less common occupations such as rural community self employment skills will be the focus of this project.

Also under consideration is a revised draft legislation of the Industrial Training Act; Law of Guyana. This document proposes to unite the administration of vocational institutions and the apprenticeship activities into a single national entity. Also being proposed is the introduction of a training levy / rebate system. It is anticipated that this system, along with a grant from the national budget, will be available to establish a & start-up fund" scheme for viable youth enterprise initiatives.

8. Jamaica

In an effort to resolve the youth unemployment problem in Jamaica, the government established the Human Employment and Resource Training Trust (HEART). The main function of this program is to finance, develop and monitor employment training programs, assist in placing graduates, seek jobs and promote employment projects for youths.

The five main objectives of HEART are to 1)achieve optimum resource utilization, cost utilization, cost effectiveness and operating efficiencies in the institutions which comprise the technical vocational education and training system (TVET); 2)promote the expansion and continued development of the TVET system to meet effective demand for skilled and semi-skilled workers; 3)act as a catalyst for incorporating the private sector in the direction and delivery of technical vocational education and training in Jamaica 4); ensure that instructional and administrative arrangements in approved training institutions comply with established standards and 5); administer the provisions of the HEART Act with respect to employer contribution tax and trainee welfare.

Training is directed to meet the needs of certain sectors which have the potential to generate new employment and earn foreign exchange for the National Economy. These sectors are: Tourism and hospitality industry, agro-industry, export manufacturing, furniture, repairs and maintenance services, electronics, automotive. An apprenticeship program was reintroduced to offer industry based training aimed at producing skilled craftsmen to meet the needs of the maintenance and service trades.

In addition to HEART, the Ministry of Labor, Social Security and Sport is currently re-establishing employment bureaus island wide to assist in providing skill testing, training and employment to various categories of workers. Staff persons at these agencies are train youths in areas such as interviewing techniques, registration and documentation, selection and referrals, job analysis process, job solicitation, public relations and sales, data entry and retrieval and computer and writing skills. Financial assistance for the work of the trust is a 3% pay roll deduction on private sector firms.

Other Government programs in Jamaica include Youth Employment and Empowerment, National Youth in Agriculture, income Generating Projects, Self Start Fund and the Social Rehabilitation Program. Each is briefly described in the paragraphs below.

The Youth Empowerment Program is monitored by the Social Development Commission and offers on-the-job training to students in high schools, colleges and universities. In 1994, 2039 students were trained in areas that developed their full potential in economic opportunities. Training has resulted in a number of job placements and applications for further training in HEART/NTA institutions, community skills training and other projects.

The next program is the National Youth in Agriculture programs which develop plans and implement various activities for youth involvement in agriculture through educational programs and competitive events culminating at an agriculture show. The mission of this program is to promote and develop excellence in agriculture among Jamaican Youth in order to create an awareness of the need to increase production for food security and economic stability of the country.

The Ministry of Education has Income Generating Projects which aim at improving the educational, economic and social well-being of the participants. This is achieved by enriching the curriculum and providing management skills that will allow participants to generate economic returns and provide the student especially with a more positive perception of the importance of acquiring skills in a particular vocation before graduation.

The Self-Start Fund is a bold and dynamic financial institution established by the Jamaican Government in 1983. This program provides loans to small and medium sized businesses. Self-Start is fully geared to meet the needs of academically inclined youths and those who are not. It meets the needs of people with ideas and initiative regardless of background and age (18-60 are eligible). The loans given are for small and micro-businesses and are long or short term loans. Loans are given to applicants whose assets do not exceed $500,000. The monies are to be used for the purpose of acquiring basic tools, implements of trade, equipment and raw materials.

The final program reviewed is the Social Rehabilitation Program. This program represents a new dimension to the Food Stamp program and has the philosophy that a little strategic help is more likely to extricate persons from a situation of poverty instead of the ongoing welfare assistance. According to their philosophy, it is critical to remove from the program beneficiaries who have the potential to help themselves if given the necessary assistance. The program provides an opportunity for income generation and skills training. During 1992-93, 2,853 persons were assisted . The benefit was provided in the form of raw materials and other inputs for the projects which ranged from livestock, crop farming, leather craft, needlework and pastry.

9. St Kitts and Nevis

The Ministry of Education of St. Kitts and Nevis places special emphasis on the eradication of poverty and has therefore put programs in place in line with their position.

Institutions like schools, the college of further education and more recently the non-formal youth skills training project help prepare youths for employment.

Recently, specialized financial institutions like the Foundation for National Development and the Development Bank have become more involved in assisting students of various levels. Students are offered to further their education in order to have improved employment opportunities. However, this type of assistance plays a central role, it is somewhat limited only to those who are academically inclined. The Foundation for National Development specializes mainly in loans for small enterprises and for self-employment. They would also give advice where necessary for the creation of small business and they would organize workshops and seminars for their clients. The Development Bank works on a larger scale than the Foundation. Student loans can be applied for and this covers training leading from a certificate to a university degree.

Youth Skills was established in St. Kitts and Nevis in 1985 with the objective of alleviating unemployment through training for employable skills. This is a more direct approach to employment preparation which caters for students ages 16-25 who are less academically inclined. Various basic skills are taught for short periods (at least 3 months of attachment or on the job training). During the course, a stipend of $40.00 is given to students to cover expenses. Recently, the course has been including components in contemporary disciplines, such as the information superhighway, so trainees can attain skills for today's market. After training, students find jobs and are placed in these at about 65-90% placement rate.

The Department of Labor also assists in job placement through its agency. Prospective workers would register at this agency for work and when an employer requests workers the Department places them. The Department also has a bi-monthly program that highlights work related expectations. Various topics are aired with regard to workers and employer's rights. This program educates prospective employees, the working population and employers of their rights and obligations.

Finally, the Department of Labor hold regular sessions at schools which prepare students for the world of work. Topics discussed include vital and current issues related to work. Subjects like customer relations, positive work attitudes, punctuality, absenteeism and its effect and serving the public. In addition, counseling services are provided which encourage workers to adapt positive work attitudes and to be responsible and productive employees.

10. St Lucia

The Youth enterprise development programs in St. Lucia attempt to build a sense of self worth in youth, by training and placing them in gainful employment in both wage and self-employment sectors. These programs therefore, enhance the social and economic development of the island.

The programs in St. Lucia are I) the Youth Skills Training program; ii) the Small Business Assistance Program; and iii) the National Research and Development Foundation. Each of these programs have subdivisions which will be briefly highlighted.

The Youth Skills Training program has assisted in teaching over 50 modules in areas demanded by the island's economy. Each training module runs from 3 to 12 months and comprises three components: technical skills, business training and social skills. The program has a placement desk which ensures the effective placement of trainees in gainful employment. This is achieved by mechanisms such as one-day workshops, weekend camps and employment preparation/counseling programs. From April 1993 to March 1994, 198 trainees benefitted from the program. Of those, 142 benefitted and 96 were placed in gainful employment. Because of the growing demand for training, centers have been established in twelve of the seventeen districts of the island.

There are three other programs that fall under the category of the Youth Skills program. These are the Boys Training Center, the Upton Girls and CARE. The first two mentioned, are structured for young girls and boys between the ages of 9 and 20 who have committed some kind of misdemeanor. Each center takes from 20 - 30 persons per session and engages them in ventures such as poultry farming for the boys (sale of eggs and chicken to nearby markets) and restaurant service for girls. These activities help maintain the programs afloat. Job placement is done by the center with occasional assistance from Youth Skills.

The CARE center is primarily for kids ages 13 to 20 who are primary school drop-outs or are not academically inclined. There are currently 80 youngsters enrolled in the program and expanding the capacity has been difficult due to financial constraints. The program is divided into two sections that run for about four to five months. The sections are consecutive, the first helps develop the social, physical, emotional and spiritual faculties of the individual and the second section focuses on developing a income generating skill of the student's choice.

Another program in St. Lucia is the Small Business Assistance Program which was created by the St. Lucia Development Bank. This project seeks to invest its funds prudently in projects which have a high probability of success and also renders assistance to persons who appear to have credibility and commitment for the success of a business (the interest rate does not exceed 6% per annum). The bank encourages youths with little business skills to place monies from sales in special managed accounts that keep personal records (investment, net-profit, re-investment). This continues until the individual masters the process of money management process.

The final project mentioned was the NRDF School Based Entrepreneurial Training Program. This program is similar to the CARE program in that it trains children that are not academically inclined in vocational areas. In the late phases of training, the students become involved in small scale business on the school grounds and sell items such as sweets, nuts and pastries.

11. St Vincent and the Grenadines

The economy of St. Vincent and the Grenadines is almost exclusively dependent on agriculture and the terrain of the land reduces the amount that is arable, the ratio of land to person exposes a degree of concern. The economy of this Island has gone through rapid structural adjustments both economically and demographically and the political climate is conducive to business enterprise on the whole. The Government encourages and supports infrastructure development and concessions appealing to business.

In the case of the larger and more established businesses, the reason for not increasing capacity is that there is a limit on the possibilities of domestic consumption, thus reducing the economies of scale that lower unit costs and promote internal production of goods and services. Unless there is an export possibility, no one is willing to expand their business. Smaller and prospective businesses demonstrate that there are many ideas but that these are put aside for more conventional buying and selling businesses due to risk aversion.

Ideas are also lost either because the small entrepreneur is not able to sell them or because financiers are not able to buy. The lack of financing and technical training and the short-term profit mentality has hurt the creation of new businesses start-up. The main businesses started in St. Vincent and The Grenadines are in agro-processing, fishing, craft, furniture manufacturing, domestic and industrial sewing, construction and pastry making. Unfortunately, 75% of business started fail within the first six months of operation according to statistics.

To help and alleviate some of the poverty and unemployment problem, the Government has established certain policies and programs through the Ministry of Education and the Ministry of Housing and Community Services. The Ministry of Education for example, gives access to free primary education and free secondary education to students who pass the Common Entrance examination. In addition, they have programs on Youth Affairs, Women's Affairs and Adult Education.

The Ministry of Housing and Community Development provide skills training, community self-help projects and assistance with books and school uniforms through the social welfare program.

In addition to the Government agencies involved, various NGO's are involved in providing adult and youth education and infrastructure development courses.

12. Surinam

Support services for MSE's in general and youth-owned businesses in particular can be broadly subdivided into three groups: non-governmental organizations (NGO's), semi-governmental organizations and government ministries. NGO's include cooperatives, employers associations and interest groups that specifically target women and youth. Most of the efforts to assist the sub-sector have only recently begun, following the introduction of the Government's Structural Adjustment Programme.

The key MSE and youth development support institutions are the Foundation for Labor Mobilization and Development, the Foundation for Productive Work, and the center for Industrial Development and Export Promotion.

The Foundation for Labor Mobilization and Development is the leading vocational training institute in Surinam. The Foundation operates from three training centers and caters to adults and youth. On average, there are some 250 trainees in attendance at any one time in the three centers. Efforts are currently afoot to hand over the management of this government-sponsored program to an indigenous NGO.

The Foundation for Productive Work is another semi-governmental institution engaged in management support services, as well as training and the provision of facilities for the informal sector. This institution can potentially play a pivotal role in supporting youth enterprise development efforts, particularly in the area of incubator facilities and training in industrial arts and crafts.

The center for Industrial Development and Export Promotion, a semi-governmental institution, also provides management support, counseling and consulting services to local businesses, including MSE's.

13. Trinidad and Tobago

Programs in Trinidad and Tobago have the primary objective of preparing persons for the world of work and focus on areas such as employability, worthy citizenship, national identity and leadership. These training programs are administered at a state, community and NGO level.

The state system offers courses based on the indication of labor market demand and cover occupational areas such as agriculture, applied arts, auto maintenance and repair, craft and electricity. In view of marginal growth in the industrial sector over the past decade, government programs are trying to place more emphasis on training for self employment and entrepreneurship. Two agencies which operate as limited companies demonstrate and focus their programs to assist the general state effort.

The first program is the Youth Training and Employment Partnership Program (YTEPP). The main objective is to expose young people between the ages of 15 to 25 years to marketable skills and make them self-employable. The program is delivered in 3 components: I)Vocational Skills training ii)Career enhancement and iii) Entrepreneurial Development and Support Services (EDSS).

YTEPP accounts for about 8,000 trainees annually on average, approximately 75% of all technical/vocational trainees, but only 11% of the nation's unemployed young population (ages 15-25). The EDSS component, trains almost 1,000 of the 8,000 trainees in two 4 month courses annually in some sixty classes throughout the country.

The curriculum is designed to I) assist trainees to discover skills and venture into entrepreneurial projects for income generation; ii) build self-confidence as a micro entrepreneur; and iii) equip student with skills for managing business enterprise more successfully. Trainees accordingly learn how to generate business ideas, validate these by developing a business plan and conducting market research. Finally, trainees learn to start a business and negotiate with financiers, customers and other persons.

Training is complemented by a post training Support Service component which assists the graduate in establishing and running a business project and includes financial and technical assistance aimed at improving the product or service. Problems encountered by this program include but are not limited to the following: I) High attrition; ii) Lack of labor market information system (should be installed to help guide trainees about the existence of markets and viable projects); and iii) a lack of business incubators.

The Small Business Development Company (SBDC) runs a loan guarantee scheme in conjunction with the local banking sector, credit unions and other non-banking financial institutions and provides business information, training and counseling through a variety of programs. In 1990 it was given the responsibility of undertaking and coordinating the Youth Enterprise and Support Services (YESS) as a national vehicle for further promotion and development of entrepreneurship among youths 18-30 years. The program was suspended in 1991 due to lack of funds but the SBDC, again directed by the Government, is in the process of reviving this intervention which will provide youths who are graduates from the technical/vocational system with business plan development, business loans and business start-up and expansion assistance.

Trinidad and Tobago also has national industry/workplace based training systems which include the Board of Industrial Training (BIT), On-the-Job Training programs (OJT) and apprenticeship programs.

In addition, some NGO's are involved in the training process. For instance SERVOL, a church based institution offers technical and vocational training and provides funding and entrepreneurial development training under its FUNDAID program. Another NGO is the Morvant/Laventille Improvement Organization (MLIO) Christ College, Princes Town and St. Bede's Vocational are also listed as noteworthy interventions in technical training.

Cooperating Agencies

Caribbean Community Secretariat

CARICOM Support for Small and Microenterprise During the Past Decade

At the Seventh Meeting of the Standing Committee of Ministers responsible for Labor, in Dominica in 1982, the International Labor Organization (ILO) presented a proposal to establish a regional center for the promotion of small enterprise development with two major functions: The strengthening of cooperation in small enterprise development between Caribbean countries and the provision of services at the regional level that were too difficult and too intricate and costly to be provided individually in each country. A subsequent mission identified several areas for regional cooperation in the promotion of an informal and voluntary network of programs and institutions, including a comprehensive information service, the development of an exchange service, and the provision of direct technical and material support.

The Nassau Understanding in 1984 agreed to a process of structural adjustment in the nations of the Caribbean Community in light of regional and international developments, further public sector initiatives required changes in economic policy, strategies, and programs. Among the priority issues addressed were the development of private sector enterprises to achieve this goal.

Following this, the CARICOM Heads of Government further outlined this program of activities in the Barbados Consensus issued in 1985. Member states identified education, training, skills, and the entrepreneurial spirit of young people as central to achieving high levels of production and overcoming traditions that have hindered human and national development.

The Eighth Meeting of the Ministers of Labour in Belize in April 1987 noted the findings and recommended follow-up activities, focusing on a series of consultative workshops. The recommendations from this forum emphasized: 1.) Coordination of programs and services; 2.) Organization and conduct of training programs with national agencies, focusing on youth and the unemployed; 3.) Provision of information through the establishment of a regional database, and 4.) Mobilization of finance and technical assistance for the small enterprise agencies in the Caribbean.

The CARICOM Secretariat convened a Consultative Meeting of the Regional Coordinating Committee for the Year of Small Business in Grenada in September 1987. The main activities of the regional program which had been circulated to the individual member states were:

• A public awareness program for the year of small business and advocacy to evoke greater interest and commitment by Governments, banks, businesses and other interest groups
• Regional consultations and workshops to deal with issues, problems and strategies in a variety of areas, including training, technology, agriculture, a regional small business exhibition, and a regional association of small business development agencies.
• National activities would involve public awareness programs, institution building and support, surveys and studies of training activities, infrastructure development, mobilization of finance, and development of policy instruments to encourage entrepreneurship and business start up.

Subsequently, the Eighth Meeting of the Conference of the Heads of Government declared 1988 as the "Year of Small Business" in the region and encouraged member states to give attention to national policies and programs to stimulate the development of the sector. The following summarized the principal recommendations from the Year of Small Business in a series of wide-ranging and detailed proposals for action emanating from the year's activities and included in a report entitled "Beyond 1988":

1. Policy environment. Throughout the region there is need for formal and comprehensive policy statements and measures for facilitating small enterprise development.

2. Institutional framework. The uncoordinated approach to projects and programs in the past has led to inefficiencies in the use of available resources. An integrated plan should be adopted which calls for a clear definition of roles for each institutions, shared commitments, and resources and infrastructure facilities.

3. Governments. The public sector was urged to identify specific administrative and service bottlenecks in the infrastructure and take corrective action to ensure appropriate support services for small scale enterprises, especially in the area of financial management, bank policies, credit guarantees, and incentive schemes. An increased role for co-ops and credit unions in this regard was identified.

4. Incentives. The entire system of incentives should be reexamined, and specific legislation and regulations enacted to differentiate between incentives needed for small and large businesses.

5. Training and Entrepreneurial Development. Special attention should be given to young persons and women to provide them with the practical skills necessary to function in business. Public education was considered essential to bring forth greater numbers of potential entrepreneurs. More effective liaison between the schools and the businesses community were priorities. Exchange programs and fellowships among small businesses in the region were also suggested.

6. Research and Information. Interlinked national / regional small business information focal points should be developed to provide advisory services to small business persons, functioning as referral centers for information or other needs. Improved contacts among other national and regional agencies serving the small business sector would supply appropriate technical information and support to entrepreneurs. Operators should pursue vigorous outreach programs and emphasize follow-up.

7. Agriculture. Agriculture should be accorded high priority because of the need to achieve self-sufficiency in the production of food. Small farmers need assistance in production, research and technology, marketing, cottage industries and services to special groups, such as women. Joint venture partnerships between processors and primary produces should be encouraged. An extension service should be provided for small processing operations. National marketing institutions should upgrade their dissemination systems to ensure a more efficient information network, bearing in mind that each country would establish its own priorities.

In 1989 in Trinidad and Tobago, the CARICOM Secretariat a consultation to develop a comprehensive strategy for the support and development of the small business sector recommended that

1.) The issues and concerns of small businesses should be brought to the highest decision making level of the Community for regional action,

2.) Actions should emphasize cooperation among all sectors to support small business development,

3.) Existing facilities should be fully utilized to be cost effective,

4.) National and regional networks of persons should be formed to work as committees in support of the overall development of the sector, such as national small business councils that would be set up to act as a catalyst in each country.

In May 1989, the Tenth Meeting of the Standing Committee of Ministers Responsible for Labour met in Nassau, Bahamas, mentioning the previous efforts to strengthen cooperation in small enterprise development and continued need for the expansion of regional services. It was also noted that the emphasis had shifted from the proposed single ILO regional center concept to a more practical regional system for providing support services in each country. This would minimize the staff and institutional costs that would be needed.

The CARICOM Secretariat convened a workshop in Trinidad in 1989 to give particular focus on the technological needs and opportunities for small enterprise development in the Caribbean. Reports outlined the following needs:

• Technical assistance or financial assistance with access to information and technology, technical information, assistance, and training.
• The importance of screening and preparing entrepreneurs to assimilate technology in a non-technical environment.
• Impediments by administrative and regulatory agencies which hinder the efficient use of existing incentives and resources.

The workshop endorsed the importance of establishing small business associations and small business development centers as training and technical resources and increased dialogue between the national and regional levels. The following elements were identified as necessary to set up small business development centers: 1.) Adequate staffing, 2.) Sources of information and advice, 3.) Modern communications and office equipment, 4.) Local resource personnel, 5. Information about other countries in the region, 6.) Linkages with the agricultural sector, 7.) Supplemental training courses for businesses, and 8.) Shared services through such facilities as incubators to reduce the start up costs for businesses.

A study done in 1990 also found that a major weakness throughout the region was the absence of a strong institutional structure with the capability of strongly articulating the needs and interests of the small business sector. This also contributed to the lack of supportive policies for small business development and the often resulted in the existence of policies which have an adverse impact on business creation. The report also noted that a number of international and bilateral agencies has begun to initiate programs in the field, but that these were by and large uncoordinated and sometimes even duplicative of each other.

From the CARICOM Secretariat's Fifth Regional Consultation on the Small business Sector in Trinidad and Tobago on in March 1992, the recommendations centered on the following points:

• Information Sharing: Regional data bank and information center should be established linking similar institutions in each country.
• Commitment: Governments were urged to continue to demonstrate their commitment through both policy support and the provision of tangible incentives and funding.
• Development Policy: Small enterprise must be recognized as vital to long-term planning for economic growth, and included in all mechanisms and policies devised to support sustainable growth.
• Small Enterprise Act: A Small Enterprise Act should be passed by each member government to provide a more conducive legal framework for them to operate. Incentives should be reviewed to determine their impact on the sector and what alternatives would be most productive.